Knowing how to assess performance is critical whether you are running a campaign for your own company or for a client. But how does one measure success in influencer marketing? Here are four practical methods for measuring the effectiveness of influencer marketing campaigns.
When companies engage in influencer marketing campaigns, it is critical to understand how to measure success and identify key performance indicators. Otherwise, how will you know if your advertising effort was successful or not?
There is a lot of information and tools available for finding influencers and launching an influencer marketing campaign, but analyzing the impact of influencer marketing might feel like jumping deep into the unknown.
Influencer marketing for brands may undoubtedly increase ROI, and performance can be quantified by examining key indicators and data. But it’s the “how” that has many marketers baffled.
Whether you are operating a campaign for your own business, or executing on behalf of a client, understanding how to work with influencers and gauge performance is crucial. Here are four practical methods for evaluating influencer marketing campaigns.
You must determine your campaign reach if you want to know if your influencer marketing campaign is effective.
Reach is a measure that indicates how far your brand message has spread and how many potential customers it has reached. To determine influencer reach, there are important KPIs to measure, such as:
Count of Influencer Followers
Because some of the followers are brands and bots, the influencer follower count cannot be used to predict reach. However, it can give you an idea of the approximate number of users who will see your sponsored post.
This metric displays the number of times your target audience sees your sponsored post. For example, if your post received 1,000 impressions, it means that it was seen 1,000 times.
Traffic
Traffic Data is one of the most trustworthy indicators. It displays the exact amount of traffic that arrives at your website from the influencer’s profile or account link.
The next stage is to assess the effectiveness of your influencer marketing campaign. To do so, you should examine the statistics of each sponsored post and Story. Pay close attention to the following indicators.
If you work with an Instagram influencer, you can request post insights from them. The influencer will only need a few seconds to snap a screenshot of the post insights and submit it to you.
You can determine the cost per engagement (CPE) after monitoring engagement rates. The formula is straightforward. Simply divide your total ad spend by the number of engagements.
Assume that you spend $3000 on your influencer marketing effort in total. The influencer has made four posts, totalling 15,000 likes, 4,000 comments, and 1,000 shares. We can calculate the CPE of your influencer marketing campaign by dividing $3,000 by 20,000 engagements.
Coupons, affiliate links, and UTM parameters should be used to track which influencer receives which transactions. It’s the easiest yet most efficient approach to track the success of your influencer marketing metrics and determine which influencers bring you the most money.
All you have to do is use the Google Analytics Campaign URL Builder to add UTM parameters to URLs. If you follow all of the steps correctly, the system will allow you to track your influencer campaign in Google Analytics.
You will be able to track not just initial sales but also recurrent transactions if you use certain promo codes. You will gain access to information like the click-through rate to your site, the number of sales, and the average value of every sale by generating affiliates.
Assume you’ve worked with three influencers and used promotional codes. To determine how much money each influencer brought you, split the total sales generated by coupon by the amount you paid the influencer. For example, if you paid $1,000 and produced $5,000 in sales, it indicates that every dollar you spent on the influencer marketing campaign resulted in a $5 profit.
Demographics are always important in influencer marketing. If you want to achieve good results, make sure your sponsored posts get to the right people.
Assume your company sells lipstick and mascara to young teenagers. To increase sales, you must reach out to parents who are interested in purchasing specialized cosmetics for their adolescent children. It makes no sense to target teenagers because they lack the financial means to purchase your things. Look at your Google Analytics Demographics data and discover that the majority of your website visitors are 13-15-year-old girls. You’ll realize that you need to make some adjustments to your influencer marketing plan.
Be Patient with Your Results
Remember that you should give it a 30- to 60-day window after the campaign begins to measure the outcomes.
Sponsored posts typically produce the most sales within the first few days of a campaign’s launch. Customers may, however, begin monitoring affiliate links and applying promo codes weeks after the first publishing. So, if you want accurate outcomes, you should wait.
You now understand how to assess the effectiveness of an influencer marketing strategy. So go ahead and evaluate the effectiveness of your current campaign. Apply the advice given, and you will see that nothing is as difficult as it appears.
Peersway can help you build your campaign. Peersway is a full-service marketing business specializing in nano and micro-influencer marketing strategies and campaigns. You will be assigned top campaign managers who will handle everything on your behalf, from identifying influencers to analyzing campaign performance. This allows you to save time while focusing on other vital aspects of your organization. Our team also assesses influencers before they are let into the network, guaranteeing that when you work with us, you are only dealing with highly trustworthy nano and micro-influencers.
Our company promises that you will work with vetted influencers to obtain the results you require. Working with as many influencers as you choose allows you to easily scale your campaign. Furthermore, you will be working with a set budget, which allows you to eliminate cost uncertainty and plan your campaign accordingly.
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